Baroness Smith of Basildon (Lab)

My Lords, I am grateful to both the noble Baroness and the noble Lord for their comments. I will do my best to respond to as many as possible in the time available. Both were right to recognise the work of our security services but also of those in our embassies and diplomats overseas. The noble Lord rightly raised soft power. The soft power embedded in our embassies and the work that they do can never be underestimated; it is an absolutely vital part of keeping the country safe and improving relations across the world. The noble Baroness was uncharacteristically a little uncharitable to describe this as “a wing and a prayer”. This is a serious strategy document, and it brings together numerous other documents that the Government have been working on—some of which have already been presented to this House. The industrial strategy is part of that, but there are a number of them. This is not a wing and a prayer; it is a serious commitment. Both noble Lords talked about the 5%. The noble Lord’s point at the end of his comments was important. In looking at our national security, what happens here at home—community cohesion but also the resilience of our infrastructure—is equally as important as what we do overseas. This is not a wing and a prayer; it is an absolute commitment to these figures. The NATO pledge commits to hitting a headline ambition of 5%, and we are talking about the Parliament after next, in 2035-36. Some 1.5% of that is around security and resilience spending and homeland security and resilience, which is an important part of national security, and 3.5% is core defence spending. We estimate that we will get to over 4%—about 4.1%—the year after next, and that information will become clearer. What is important in all this is that it is a collective national enterprise, as I have said, across industry, business, our embassies and the work here. This is an overarching strategy, at home and abroad. The noble Baroness asked whether the Government are confident and a number of questions about the China audit. That is the reason why we are having the China audit: those are questions that must be addressed. Whether we are talking about energy infrastructure or anything else—I am sure we will have further questions on this—our relationship with China is one of the most complex bilateral relationships we have in the entire world. There have been various ways of looking at this in the past. There was the golden era, where we said, “Yes, we’re going to work very closely with China”, and then, moving back from that, there was a lack of engagement. Neither of those approaches serves the national interest in the way that we wish. That is why we have the China audit. We have to manage the security implications and our concerns about that but also the economic relationship that we have. I thank the noble Lord for referring to Taiwan. That relationship is a commitment in the document. I admire his ingenuity—each time he speaks about ODA, he picks a different region that he wants a commitment on. He will understand that, as we travel around the world, if he adds all those up he will get to a point where we are committed to completely the same level of ODA. I know that would be his objective, but I cannot satisfy him on that point and I cannot give him some of the details, as they are still being worked out. The noble Baroness, Lady Chapman, is engaged on work on the global health fund as we speak. I say to the noble Lord that how we work with other countries, improve their resilience and support them is not just about ODA. My noble friend Lord Collins has spoken about this before; he was telling me earlier about meetings that he has with African leaders. What do they want from us? They want our support for economic diversification. They want our support for levering in private funding for business, so that they can grow their economies. They want us to facilitate and enable. All that work continues, and it is vital that it does. Our relationship with the City of London and supporting them on that also makes a real difference. I assure the noble Lord that those things will continue. The issue of the Middle East was raised. This has been of enormous concern to Members across the House, and we have had a number of debates on the issue. It is clear that Iran cannot be producing nuclear weapons that put the world at risk, and we are absolutely committed to that. But the noble Lord is right that this plays out in what happens in this country: we see conflict abroad playing out on the streets of London and major cities and towns across the UK. That brings a responsibility to government and the whole nation as well, which is why that 1.5% of the 5% funding is so important. I do not think the noble Baroness touched on this point, but resilience happens in a number of ways: it is our food resilience, energy resilience, telecoms resilience and business resilience. Marks & Spencer had a cyberattack—I am sure there are more noble Lords than me who have not been able to use their Sparks card. The most important thing is the damage that that has done to the economy and to that business. The damage to people’s confidence in dealing with the business is considerable. In all these areas, resilience is crucial. The noble Baroness, Lady Goldie, emphasised that we need to know exactly where the money is coming from—what is happening on this pound and that pound. More of this will become available as the spending review information is fed out, but this is a commitment and she should not doubt it in any way. I hope that all noble Lords will recognise that if we want to keep the country safe and secure, the first duty of any Government is the safety and security of their citizens, at home and abroad. I am sorry that she thinks this is, to use her words, on a wing and a prayer; I fail to accept that. The noble Baroness mentioned the money to be spent on Chagos. Governments do not spend this kind of money lightly. They will do so only if they are absolutely confident that it is in the national interest to do so. We have taken the view, and the evidence supports this, that it is absolutely in our security interests as a nation that we have this deal around the Diego Garcia base. That is why we have done the deal. Some of the figures given out are wildly inaccurate. We will have a longer debate on this on Monday, but we are committed to this for absolutely the right reasons, which are national security and national safety.